The long-rumored sale of the New Frontier to the Elad group has apparently gone through. Translation: the Frontier’s days are numbered, so if you want to ride the bull at Gilley’s, start making plans now. From the press release:
New York-based Elad Group, owner of the iconic Plaza Hotel, has purchased the last available prime parcel on the Las Vegas Strip where it will develop a $5 billion multi-use ultra-luxury hotel, private residence, retail and gaming complex bearing The Plaza brand, it was announced by Miki Naftali, Elad’s president.
The 34.5 acre site is currently occupied by The New Frontier & Casino which will be demolished to make way for the new Las Vegas Plaza.
“We are delighted to enter the Las Vegas market and introduce the highest level of luxury and sophistication as defined by The Plaza worldwide,” said Mr. Naftali. “Though planning is in the early stages, The Plaza in Las Vegas will introduce the classical elegance and grandeur of the storied New York landmark to The Strip. We look forward to being part of a community with some of the most prestigious, dynamic and visionary developments anywhere,” he said.
The site is directly across from the Wynn Las Vegas and Wynn’s newest development, the Anchor, and will build on the concept that unparalleled luxury and service represent the new standard rather than theme park attractions.
The Plaza in Las Vegas plans to feature a six-diamond hotel, private residences, the Plaza Retail Collection, a state-of-the-art casino, destination restaurants and spectacular convention space.
Demolition is slated to begin early next year. Construction is anticipated to take three years, with an official opening slated for 2011.
“There is only one original Plaza, and that will never change, but all that the brand stands for in terms of style, service and luxury will be intrinsic to the Plaza Las Vegas,” Mr. Naftali said. “We also look forward to bringing the Plaza brand to other destination cities in the near future, such as Los Angeles, San Francisco, Washington, D.C, Boston, London, Paris, Rome, Tokyo and Shanghai,” he said.
$5 Billion Investment to Bring The Plaza to Las Vegas
Interesting note: Donald Trump used to own New York’s Plaza, and he’s got one (eventually two) condo towers with his name on them behind the site of the “Las Vegas” Plaza. Coincidence? Maybe.
To my understanding, the actual resort will cost $3.5 billion to build (the $5 billion figure includes the price of the land), which is about a billion more than Wynn Las Vegas, and only a billion or so less than Echelon Place, which will be about 2.5 times as big, at least as far as acreage goes. So this is either going to be a very, very opulent resort, or it just got a lot more expensive to build on the Strip. Construction crews will be at a premium over the next few years, with Echelon, Project City Center, Fontainbleau, the Tropicana rebuild, the M resort to the south, and a slew of condos in various stages of construction.
No word in the press release on how they’ll finesse the fact that there already is a Plaza Las Vegas. Maybe the new owners know something we don’t about the future of that downtown casino. If they’re forecasting a 2011 opening for the “new” Plaza, it’s worth saying that a lot can happen in three years, and the (current) Plaza’s fate is anything but certain given the various proposals to redevelop downtown.